The Football Association of Wales is pleased to announce that it has reported an operating profit of £237,897 for the 12-months ending 30 June 2022 which represents a better than budgeted outcome.
Without the benefits of participation in the finals of a UEFA European Championship or a FIFA World Cup, the FAW’s financial performance demonstrates the resilience of the FAW’s core business operations.
Turnover for the 12-months ending 30 June was £23.2m. Gross profit of £11.6m was recorded, with the gross profit margin for the year increasing to 50% (up from 49% in previous year).
After accounting for an un-realised reduction in the value of the FAW’s market investments (due to volatility in the global markets following the Russian invasion of Ukraine), and taxation, the loss for the year totaled £100,659. Although the value of investments may continue to be volatile in the face of geopolitical events, inflation and rising bond yields, the value of FAW’s investment portfolio has recovered in full since the end of the financial year.
The FAW’s balance sheet at 30 June 2022 remained strong, with reserves of £14.6m.
Following Cymru men’s qualification for our first World Cup in 64 years, the FAW is expecting to report record revenues in the 12-months to 30 June 2023 and, as part of its new strategy “Our Wales/Ein Cymru”, has already committed to investing £4m in improving Welsh grassroots football facilities during the year-ending 30th June 2023, which is in addition to substantial financial contributions from both the UK and Welsh Governments.
“It is very encouraging that we have delivered a greatly improved operational result compared with the original budget for the 2022 financial year. As we have already announced, by having a strong balance sheet, we will use the additional revenues arising from the FIFA World Cup this year to invest in Welsh grassroots facilities.Noel Mooney, FAW Chief Executive
“We have many opportunities to grow football at all levels so we need to keep increasing our resources to ensure we can fully capitalize on our huge potential. Equally, we are always mindful of costs to our members and fans, trying to ensure the price of tickets and our various courses remain affordable for those who love Welsh football.
“Thank you to the team at the FAW and all of our partners for your great support in delivering results that enabled us to invest in the game while remaining both prudent and cost conscious during a time of great change for Welsh football. Our Change Management programme will continue through 2023 when we will record significant profits to invest into Welsh football”.
FAW President, Steve Williams said: “Last Summer, we were looking at a challenging year financially but thanks to the great work of everyone at the FAW, we have delivered a very positive return for Welsh football and look forward to a bumper financial year ahead following our qualification to the FIFA World Cup Finals.
“‘Our Wales’ is being delivered efficiently & effectively, with the FAW becoming stronger than ever before. We are hugely excited by the opportunities ahead of us and look forward to investing in these opportunities to grow football across Wales”.